Mozambique Coal Logistics: Essar Coal terminal Essar operational by 2020

The first phase of the 10 million-ton per year coal terminal to be built at the port of Beira in central Mozambique’s Sofala province, by Indian group Essar is set to start operating in 2020 following an investment of US$260 million, the CEO of Mozambique Essar Ports, Ltd said in Cape Town.

At the South African Coal Exporters Conference, 2018 held in Cape Town from 31 January to 2 February Tej Nargundkar also said that the launch of the second phase of this project, where a similar investment is planned, will depend on the success of the first, according to the local press.

The CEO Mozambique Essar Ports, Ltd. stated that the port of Beira being unable to receive ships of more than 50,000 gross tonnage or with a draft of more than 12 metres was not an obstacle to the business, as most ports in India are also not deep-water ports.

The main aim of the Essar Group’s investment through Essar Ports, Ltd is to use the port of Beira to export coal mined in Moatize, Tete province, in response to increasing demand from India.

The port of Beira is located 580 kilometres from the Moatize coal basin and is served by the Sena railway line, recently overtaken by Brazilian group Vale to transport the coal mined at Moatize instead of using the railway that passes through Malawi and arrives at the deepwater port of Nacala, over a distance of 912 kilometres.

The new terminal will be fully mechanised from the unloading of the wagons to the storage and loading of the ships. The dock will be 300 metres long and 24 metres wide and the port will have a capacity of 700,000 tons in the first phase. (macauhub)